@hack2abi What’s your take on holding this stock considering there is no expected NIM expansion or operating leverage to play out in the near term. Credit cost base is still unfavourable for the next few quarters.
I personally see more anti-thesis than thesis in the bank post the reverse merger.
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FY24 end BVPS 29.1, CMP ~54, PB - 1.85x
Valuations are undemanding, personally not worried about NIMS, OpLev. These will keep changing depending on the cycle. Credit costs were best in the industry this FY and there is no reason to not expect the same.
If we think about expectations investing, unless you think the market doesn’t know what you have mentioned, this is not a reason to sell.
Even if PB doesn’t expand there isn’t any reason for it to deflate either barring a black swan. So BVPS growth should ~= share price growth.
If we were at 2.5 or 3x PB right now then near term slowdown might be a more cause of concern.
These are just my biased views, as I intend to hold for long. Others may disagree with it.
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The level of detail and (genera industry and bank specific) insights shared is quite something.
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